Posted on: 19-07-12 12:37:26
Hello desi's....
Have been lurking around the charcha section for sometime & now am in a process to buy my first home. Would like to have help from all the experience members on here.
First thing which came in my mind is which area to buy the house. So selected the area where I and my family would be comfortable & started looking into MSL site for house (ofcourse I am going to hire a agent to buy later, this was just to get an idea). Then went to the mortgage affordability calculator for getting an quick idea, but am not getting the required amount out of the internet calculators.
So want to ask you guys is the amount you get on internet affordability calculators is what maximum you guys get from the bank ????
For a quick idea our family grooss annual income is $67,000 (working from last 3 years-both). Looking for a house in range of 375,000-400,000.
All I can get from the calculators is 300,000 maximum which is way less to even buy an reasonable townhouse in GTA !!!
Any help appreciated...
In the past the price of affordable home used to be 3 times the gross family income which in OP's case comes out to be $201,000. I can't think that someone can buy a house of this price anywhere in Canada. If you do then you will not be earning enough in that region. House has become a luxury item now.
Quote:
Originally posted by ashedfc
The entire mortgage industry survives on creativity (in laymen's term.. we call it false documentation)
Once you take the mortgage its you who have to ensure continuous & regular payments, or else you are bound to loose via lower of sale or foreclosure.
So, its not about how much mortgage you can get... you can get whatever you want..
But its more important to see "How much you can afford ?"
Hi Ash,
I take strong offense to your generalized statement above. For the misdeeds of some handful people, you can not paint the entire industry with the same brush. Like I can not call all Financial Advisors (me included) a cheater because of people like Bernie Madoff. I hope you will take care about this generalization in future.
I have been a mortgage broker and a Financial Advisor for over 10 years and have lots of friends and clients on Canadian Desi as well and I am sure that they would vouch what I have said above.
I do agree with one thing though that the borrower should be comfortable with the mortgage payments and should buy only what one can afford.
Regarding OP's query for the amount he/she can be approved for would depend on the type of income, credit and other liabilities including down payment. If he/she contacts a mortgage broker before contacting a Realtor then he/she can find out how much he/she can be approved comfortably.
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Pramod Chopra
Senior Mortgage Consultant
Mortgage Alliance Company of Canada
Thank you people...
I would be trying to catch hold of an mortgage consultant to meet first & then decide as per the suggestion of Pramod
Canadian housing market does look scary to me !!!!
There are many people on CD who can vouch for Pramodji's integrity, knowledge and service, including myself.
Hiren
Wow..so much of analysis and frustration over Silver getting tanked....? so called experts were luring common man into silver invesment with the it going to $100? It is same game played everywhere only the variants and those involved are different. Be it Stocks, options, commodities, forex etc..if businesses are not into making the money/profit they are called as social/charitable trusts.
The only person who is responsible for any fallouts is that individual.
I think commodities such as oil, gold, silver have been stabilized. Food could be the next bubble which may already be here.
